Tuesday, November 29, 2011
Option Trade Book November 29, 2011
It was a good trading day for option trader, as Nifty was moving in wave and keep riding up and then down.
Today we got our first trading opportunity when Nifty was sliding down rapidly and enter quite early, which was against the rule, we should avoid such practice, and I will make sure not to happen again. However we maintain strict stoploss to avoid any big fund erosion. Market went up and when it was nearing which was a one of the stiff resistance of 4830, I advise of squire off all position. Though it seems premature but strategically it was right.
Second trading chance come when Nifty was nearing second resistance of 4860, and book profit in put option at 4830 which because it was coming sharply and a bounce back was quite possible which happen.
It make one to wait for another 1 hour before Nifty started sliding again, but as I avoid too much of trading in same day, I did not give any call. This way we can avoid too much of pressure on us and also keep ourselves energetic for next day trade.
We have made a profit of 2600 today which is good enough on a investment of around Rs. 30,000.00.
I advise all of my readers to follow my golden rule to be on safer side.
My call history: Day 1, Day 2, Day 3, Golden rule